THE IMPACT OF DELEGATION OF AUTHORITY ON ORGANIZATIONAL EFFICIENCY (A CASE STUDY OF PZ INDUSTRIES PLC ABA)

ABSTRACT

The primary purpose of delegation of authority is to make organization possible. Just as no one person is an enterprise can do all the task necessary for accomplishment of a group goals so as an enterprise grows, it becomes impossible for the manager to exercise all the authority of making decisions. This is so because there is a limit to the number of persons a manager can effectively supervise and for whom they can make decisions. Once this limit is exceeded, authority has to be delegated to subordinates. This work explained and explored the nature of authority delegation in an organizational structure using PZ industry Aba as a case study. Also, efforts were made to identify the principles underlying authority delegation, its impact towards organizational efficiency. The problems militating against authority delegation was also explored and identified and suggestions or recommendations put forth. Both primary and secondary data were used for the work. Visits were made to both the generalized and specialized libraries. It was clearly discovered the authority delegation has a great  impacts on organizational efficiencies.

TABLE OF CONTENTS

Title page                                                              i

Approval page                                                        ii

Dedication                                                             iii

Acknowledgement                                                  iv

Abstract                                                                v

Table of contents                                                    vi

CHAPTER ONE

1. Introduction                                                         1
2. Background of the study                                 1
3. Statement of the problems                              3
4. The purpose/Objectives of the study                 4
5. Research questions                                        4
6. Significance of the study                                 5
7. Scope of the study                                                6
8. Limitation of the study                                   7
9. Definition of terms                                                8

CHAPTER TWO

LITERATURE REVIEW

•    Literature Review                                          9
• Historical Background                                    9

2.2     Process of Authority Delegation                       13

2.3     Requirements for Effective Delegation              15

2.4    Conditions under which Delegation can fail         17

2.5    Limitations of the Right to delegate                  17

2.6   Impact/Effect of Authority Delegation                18

2.7.   The effect of Non-delegation                                  25

CHAPTER  THREE                                     

3.0    Methodology and research design                            26

•   Introduction                                                       26
•  Research design                                          26
• Sources of data collection                             26
•    Population and sample size Determination              27
•    Sample techniques/ procedures                            28
• Validity and reliability of measuring instrument 30

 3.7     Method of date analysis                                31

CHAPTER FOUR

•     Data Presentation, analysis and interpretation 33
•     Introduction                                            33
•  Analysis of data                                       36
•  Interpretation of result(s)                                  46

CHAPTER FIVE

5.0  Summary of findings, conclusion and recommendation 50                                      

     5.1   Introduction                                                   50

5.2    Summary of findings                                      50

5.3    Conclusion                                                    52

5.4     Recommendations                                                52

5.5    Areas for further study                                    54

Bibliography

Appendix.

Questionnaire

CHAPETER ONE

• INTRODUCTION
• BACKGROUND OF THE STUDY

A common and popular adage states that a tree cannot make a forest. Another similar one assets that no man is an island, because of some psychological, economical and biological limitations of the individual, it is unavoidable that individuals should cooperate with each other in order to be able to surmount the many problems facing them.

Similarly, in the business world, the business manager is faced with lots of problems and tasks to perform in his organization. some of these problems are external while others are internal. As a result of this, the manager or who ever that is responsible must therefore prepare himself in order to compete favorably in the dynamic business environment so as to achieve the corporate objectives of the organization. But if he fails, it means that the organizations aim for going into the business is defeated.

Bearing in mind human limitations and its human beings are not “jacks of all trade and masters of     all, hence the need for delegation of authority in the organization be encouraged.

This is so because whenever an organization changes its legal form of one man or small scale business to a two or more partnership, medium of large scale business, it inevitable grows to a point of impersonality. At this point, it is difficult for top management to know every one in the organization and exactly what they are doing or should be doing, nor is it possible any more to oversee the whole of this now extensive activities personality. Instead, various organizational techniques of which delegation is one used to spread the lad or break down the bulk of work to be done by the managers. The breaking down of the duties of the top management is done for a number of reasons raging for lack of enough time for the superior to attain to every task in the firm, lack of expertise in the various departments or for the purpose of training.

With delegation of authority in the organization, the workload of the manager is reduced or eased economically or otherwise. This is true because left alone, the managers cannot accomplish the entire task necessary for the attainment of the group goals, thus some of these have to be delegated to enable the delegate to work out the assigned tasks.

• STATEMENT OF PROBLEM

Today’s managers have continually observed the lack as much as they could, they have not been able to properly motivated and make best use of the work force for greater performance.

Some firms even with the abundant resources both finance and materials, still experience poor performance due to lack of a well structural organization which is largely as a result of the inability of some managers to delegate authority to their subordinates.                                                             The problem of authority delegation in the organization has posed a very big problem to the smooth running of many organizations, as well as the government of the country. It has become so enormous and has increases the complex of most organizations by creating relationship gap between managers and their subordinates and has inevitably has enormous impact on the overall performance of these organizations.

The pertinent question that comes to mind in case of appraising authority delegation as it affects the different organization is: